Airbnb’s short-term rentals break law in Los Angeles, says city memo

Airbnb, the popular online service that allows people to rent out their homes and apartments to strangers for short periods, violates zoning laws in many neighborhoods of Los Angeles, city officials say in a densely worded memo.

The memo, dated Wednesday, is not believed to represent a policy change for the city, and it’s written in such a complex manner that it’s not entirely clear in which city neighborhoods Airbnb is legal and in which it is not. But as a general rule, the memo states, city residents may not rent out their apartments and homes for fewer than 30 days if they live in what the planning department classifies as a purely residential neighborhood.

“Short-term rentals may be allowed in commercial zones,” as well as some multifamily residential zones, states the memo written by Deputy Director of Planning Alan Bell. But Bell said even apartments in those zones can’t necessarily be rented using the Web platform.

“The rules governing short-term rentals in these zones are complex,” he writes.

Reports surfaced Thursday that the 6-year-old San Francisco company could soon be valued at $10 billion, with Airbnb supposedly in talks to raise another $400 million in capital. But the company has its detractors, especially in relatively calm neighborhoods where residents who do not rent out their homes and apartments complain that the guests have disrupted the residential ecosystems. Airbnb also has been seen as a threat to the hotel industry, which traditionally has enjoyed a monopoly on the market for out-of-town visitors.

The city’s zoning map is extraordinarily intricate, but the memo suggests that Airbnb is not allowed in any purely residential neighborhoods. It appears to be OK, however, in denser neighborhoods like downtown Los Angeles and parts of Hollywood.

But enforcing laws against short-term rentals is not easy. And though politicians understand that quiet neighborhoods may not want short-term renters, officials also understand that Airbnb is extremely popular among renters. Airbnb says it has booked more than 10 million nights worldwide.

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Nick Papas, a spokesman for Airbnb, said in an email that the company is seeking uniform rules for short-term rentals in Los Angeles.

“As this memo makes clear, short-term rental rules are complex and we’re fighting for clear, fair rules that make it easy for people to share the home in which they live,” Papas said. “Airbnb has already helped countless L.A. residents stay in their homes and pay their bills while giving travelers the chance to explore Southern California’s unique neighborhoods.”

For now, in a nod to the various short-term housing rules worldwide, Airbnb asks prospective renters to check on their own whether renting is allowed. “By accepting our Terms of Service and activating a listing, you certify that you will follow your local laws and regulations,” the company says on a listing of frequently asked questions on its website.